The Oklahoma City-based company benefited in the fourth quarter from dropping nearly all its oil hedges when crude was still priced at about $80 a barrel in early November. The company earned $433 million from the move, which was unanimously approved by its board, and it used the cash to cover operating costs and keep its investment-grade credit rating, Chief Executive
Harold Hamm
said in late February.

“Looking ahead, U.S. oil production is starting to roll over, as anticipated,” Mr. Hamm said in a news release Wednesday.

“We remain encouraged by the outlook for the second half of the year and for 2016,” Mr. Hamm added.

The company said its drilling and completion costs for most of its operated wells have fallen a more-than-anticipated 15% since the end of last year, mostly the result of lower service costs. Continental Resources said it now expects to realize service cost reductions of up to 20% by midyear and further savings from drilling and completion efficiencies.

Overall, Continental Resources reported a loss of $132 million, or 36 cents a share, compared with a year-earlier profit of $226.2 million, or 61 cents a share. The latest period included $32.8 million in derivatives gains, while the year earlier period included derivative losses of $39.7 million. Excluding asset write-downs and other items, the per-share loss was nine cents, compared with a year-earlier per-share profit of 74 cents. Oil-and-gas revenue slid 42% to $582.6 million.